PREGNANT MOTHER-INSIDE BAR

Now I'd like to better introduce you to the pregnant mother pattern or inside bar.

I will go more in depth about this pattern later but since one is forming right now I wanted you to get a chance to see one before I go into them.

It can be considered an opposite to the outside bar. If the market rises above baby's head you don't have to wait for the close of the pivot bar. In other words it is a heads up to a pivot in progress and can be expected to rise to the top of mother's head for and up bar and the bottom of mothers feet for a down bar. Don't worry the explanation is below.

A nice move usually follows this pattern. Don't trade it just watch it and see how it plays out. Also, the larger the mother the larger the baby and the larger the move.

This is one pivot where you can consider an early entry. Before the close of the pivot bar.

you see on the chart that baby has a range (high and low) that is contained inside mommy's range (high and low). Thus Mom is with child and all that left is for her to give birth. That is for baby to close outside of mommy.

There are only two exceptions for the pivot requirement of the swing bar to have the lowest low or the highest high. You are already familiar with the outside bar exception. The second one is the Harimi (pregnant mother). Harimi is the Japanese word for pregnant. (see your candlestick dictionary)

Once the pivot is formed, baby becomes the swing bar but your stop will be placed below mother or under mother's protection.

If baby has an up close, baby can be expected to break out of mom to the upside. If baby has a down close baby can be expected to break out of mother to the up side.

When the next bar after baby closes above the close of baby(close of bar), you have your pivot bar and baby is the swing bar. Note: Though baby is the swing bar your stop goes below mommy.

If you look to the left of your chart to bar #1 you will see an example of this pregnancy and birth. If you look further up left on your chart to bar#5 you will see an example to the downside.

Like all normal births without complications baby should be expected head first.

When baby's head is down (down close) baby can be expected to be born head first, down. When baby's head is up baby can be expected to be born head first, up.

The entry signal comes when you have a 15,30,or 60min close above the high of baby's head.

So, there you have it. Another of natures workings manifested on the charts.

Jerry